ARK Supports Nvidia's Dominance in AI Despite Concerns of a Market Bubble
- ARK Invest re-allocates $17M to Nvidia , betting on AI-driven growth amid crypto-linked equity purchases during a market slump. - Nvidia reports $57B revenue, exceeding forecasts by $2.1B, with $500B Blackwell/Rubin order backlog and 73.6% gross margin. - $15B Nvidia-Microsoft Anthropic deal intensifies generative AI competition, while analysts raise $250-$272 price targets for AI infrastructure leadership. - Market anxieties persist over AI sustainability: 61% Q3 revenue from four clients, AI "bubble" f
Cathie Wood's
The earnings release also disclosed a $500 billion backlog for Blackwell and Rubin chip orders through 2026,
Analysts remain cautiously optimistic.
The mixed market response to Nvidia’s results reflects wider uncertainty. The company’s gross margin of 73.6% and adjusted net income of $32 billion impressed investors
ARK’s renewed emphasis on Nvidia fits with its broader commitment to AI’s long-term promise. The firm has also invested $46 million in Circle and increased its stake in
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